Is your treasury a tight ship? Or a leaky boat?

Treasury policy formation or review to meet your business’ financial risk

A strong, overarching treasury policy adds certainty and discipline to the way your business manages the financial risks it faces. Whether you need to create a policy from scratch or your existing documents need reviewing we can help.

Every business must deal with financial risk, which in its simplest form, is maintaining good cash flow. As anyone who’s run a business knows, poorly managed cash flow can be disastrous. And the larger the business, the larger the potential for trouble. In addition, businesses who borrow funds can be vulnerable to interest rate rises, or interest rate risk. Those who purchase stock or sell products overseas are subject to exchange rate fluctuations, or foreign exchange risk.

Establish your risk comfort zone

A solid, well thought out treasury policy will identify and address all the risks above, giving you a realistic (fact based) view of your business’ financial risk exposure.

Even better, you’ll be guided through a process which helps you decide how much risk you’re willing to accept, and your options to manage or reduce it. And you’ll learn about the tools and skills you (or your team) might need to acquire or learn to do this.

Identify and empower those responsible for treasury management

Any treasury policy worth its salt will also clearly set out who is responsible for financial risk. Depending on the business size you may need to form a separate treasury function, or it may fall to the finance department. The important thing here is to clarify WHO is responsible, and make certain they have the tools, skills and authority to perform their role.

Our fit-for-purpose Treasury Policy studies the unique position of your business and forms a policy around it, leaving you with a strong, documented system for keeping your financial risk well managed and at appropriate levels.

Even if you’re not sure you need a policy, we can help you decide

Call us on 0401 142 311 to discuss your existing treasury policy (or lack of one) and enjoy the benefits of working with a consultant with 25 year’s finance experience. Alternatively, fill out our contact form.

Capital strategy is a delicate balance

Consider using the influence and skills of an experienced third party

Capital strategy guides the way your business obtains and manages the money (capital) it needs, to carry out the plans of the board and executive team. These funds could be for growth, expansion or simply day to day activity. This can mean raising debt or issuing shares, both of which are major events for most companies. Bringing in external help with specific experience can make an enormous difference to the quality of your capital arrangements.

Keeping a tight rein on risk

An appropriate mix of debt and equity in a company’s capital structure can be a delicate balancing act best undertaken by those with skills and experience in the area. Your company will face unique risks specific to the way capital has been (or will be) raised. This may make it vulnerable to changes in overseas debt markets, interest rates or local share markets. The input of an expert with foresight and experience gives you the knowledge and skills to manage these exposures without major risk to the business itself.

Know your limits

A good capital strategy will also outline safe levels of debt for your company, relative to its assets and income. If your board (if applicable) and executive team understand and agree where the limits are for debt exposure, then your business won’t be making the newspapers for all the wrong reasons any time soon. It’s also important to share your capital strategy draft with a range of stakeholders. An impartial third party can be an excellent mediator between different stakeholder groups.

Keep reviewing

Even if your company already has a capital strategy, it’s not a set and forget document. Regular review is essential as your business grows and changes. Despite its importance, it is the kind of task which could filter to the bottom of the to do list in a busy treasury or finance department. Retaining an external consultant has the dual benefits of getting the job done quickly (and exceptionally well) and keeping your team free to get on with other pressing tasks.

Don’t leave your business exposed to capital risk

Contact us on 0401 142 311 and discover the depths of Mike’s knowledge in this tricky area.

Keep a handle on your day to day business

Good working capital management gives you freedom to do business

Good working capital management gives you the freedom to focus on running your business instead of spending time wondering if your cash flow can cover the next bill. Learn tools and techniques to keep your current assets, most importantly your cash flow, liquid and become aware of the red flags that will warn you about a working capital ratio that’s too high or, worse, too low.

Working capital woes can strike any business at any time

We can help you firstly map and then smooth your working capital, helping you prepare for leaner times and capitalise on periods when cash flow is more reliable. Our experts know how to spot risks and opportunities, they’ll show you exactly how to make the most of your business’ unique working capital cycle, including taking advantage of potential savings. We can also educate your team on the best ways to speed up cash collection, minimise cash outflows and manage inventory levels.

Learn how to manage working capital so it doesn’t manage you

We can help you firstly map and then smooth your working capital, helping you prepare for leaner times and capitalise on periods when cash flow is more reliable. Our experts know how to spot risks and opportunities, they’ll show you exactly how to make the most of your business’ unique working capital cycle, including taking advantage of potential savings. We can also educate your team on the best ways to speed up cash collection, minimise cash outflows and manage inventory levels.

Is working capital a pressure point in your business?

Contact our consultants on 0401 142 322 and we’ll explain how we’ll work with you to reduce the stress of irregular and uncertain cash flow. Our contact form is here, if you prefer. 

Far ranging treasury skills on demand

New to the capital markets? Get your hands on some expert advice

When the need first arises in a business for a dedicated treasury team, it can take a while for the team to adjust to their new roles. Our ‘expert for hire’ can assist with treasury set up, and help you forge strong banking relationships, and formidable negotiating skills.

We can help make your business super appealing to investors

Could you use some help marketing your business capital providers? These might include banks, rating agencies and debt and equity investors. If your business is new to the capital markets, it helps to have an expert advisor behind you, helping you articulate why investors should choose your business to invest in.

Assistance with banking relationships

Our expert consultant has strong connections within Sydney's banking community. He speaks fluent 'bank' and can help with tasks such as the set up or review of your banking arrangements and the refinancing of loans. Familiarity with the markets and the right expertise can make an enormous difference to the outcome of your loan application or refinancing project. 

Our services are not limited to the tasks above. Just ask us.

Think your need is a treasury need but it doesn't fit into the above categories? No problem. Give us a call on 0411 142 311. Chances are we'll be able to help.